Completes $500M Fixed-Rate Debt Offering and $150M Revolving Facility
JACK sits 35% above its 52-week low of $8.915.
Summary
Jack in the Box Funding, LLC, a subsidiary, completed its previously announced securitized debt offering, issuing $500 million in fixed-rate notes at 7.624% and establishing a $150 million revolving credit facility.
Key Events · Financing and Capital Events · JACK
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Securitized Debt Offering Completed
Jack in the Box Funding, LLC completed a previously announced securitized debt offering, issuing $500 million in Series 2026-1 7.624% Fixed Rate Senior Secured Notes, Class A-2.
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New Revolving Credit Facility Established
The company also established a new Series 2026-1 Variable Funding Senior Secured Notes facility, allowing for drawings up to $150 million. On the closing date, $39 million was drawn, and $56 million in undrawn letters of credit were issued.
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Debt Refinancing and General Corporate Purposes
Proceeds from the offering were used to repay $46.1 million of Series 2019-1 Class A-2-II Notes and $479.9 million of Series 2022-1 Class A-2-I Notes, totaling approximately $526 million in refinanced debt. Remaining proceeds are for general corporate purposes.
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Notes Secured by Company Assets
The new 2026 Notes are secured by revenue-generating assets, including franchise-related agreements, real estate assets, and intellectual property.
Analysis · JACK · Trade & Services
This filing confirms the completion of a significant securitized debt transaction, following the finalization announced on June 15, 2026. The company issued $500 million in fixed-rate notes at a 7.624% interest rate and secured a new $150 million revolving credit facility, with $39 million immediately drawn and $56 million allocated to letters of credit. The proceeds primarily refinance approximately $526 million of existing debt, with any remainder allocated to general corporate purposes. This move provides substantial capital and financial flexibility, crucial for a company of this size, though the 7.624% fixed rate represents a notable cost of capital.
At the time of this filing, JACK was trading at $12.05 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $220.9M. The 52-week trading range was $8.92 to $25.34. This filing was assessed with neutral market sentiment and an importance score of 9 out of 10.